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INTELLECTUAL PROPERTY PROTECTION IN SOFTWARE
Presented to the Faculty of the Institute of Intellectual Property Studies NMIMS in
Partial Fulfillment of the Requirements for the
POST GRADUATE DIPLOMA IN PATENT LAW & PRACTICE
Viral Ponda : Student Id no : 780011400004
vyp009@gmail.com , +91-9821606561
CopyrightsViralPonda2015
1
The life cycles of the software includes
1.Designing of the software requirements : (ALGORITHMS / FLOW
CHART / LOGIC )
2.Building the designs to source codes and Object code i.e programs
(PROGRAMING IN A LANGUAGE AND COMPILATION)
3.Testing the designs and programs whether they confirms the
requirements
(TESTING)
4. Maintenance of the same with updating as and required.
(UPGRADES/ VERSIONS)
LIFE CYCLE OF SOFTWARE
CopyrightsViralPonda2015
2
DEFINITIONS
• Computer is defined in The Information Technology Act, 2000 (No.21 of 2000) as “any
electronic, magnetic, optical or other high-speed data processing device or system which
performs logical, arithmetic, and memory functions by manipulations of electronic,
magnetic or optical impulses, and includes all input, output, processing, storage, computer
software, or communication facilities which are connected or related to the computer in a
computer system or computer network”.
• Algorithm : Not defined in Indian statutes thus the general dictionary meaning
“a set of rules that must be followed when solving a particular problem".
= /
CopyrightsViralPonda2015
3
DEFINITIONS
• Computer network: is defined in The Information Technology Act, 2000 (No. 21 of
2000) as “the interconnection of one or more computers through - (i) the use of
satellite, microwave, terrestrial line or other communication media; and (ii) terminals
or a complex consisting of two or more interconnected computers whether or not the
interconnection is continuously maintained”.
• The term computer program has been defined in the Copyright Act 1957 under
Section 2(ffc) as "computer program means a set of instructions expressed in words,
codes, schemes or in any other form, including a machine readable medium, capable
of causing a computer to perform a particular task or achieve a particular result”.
CopyrightsViralPonda2015
4
DEFINITIONS
• Source Code: The original lines written by the programmer source code.
• Language compiler is a computer program (or a set of programs) that transforms
source code written in a programming language (the source language) into another
computer language (object code / executable), with the latter often having a binary
form known as object code.
• EG : C++ , VB, Java etc
• The Object code: The object code which gives the actual instructions that control the
computer when the program is executed.
• Can be understood by the
programmer and computer
• Written by the programmer or
on instruction of the
programmer by a software.
• Works as a translator
• Provides protection to the
source code.
• Can be understood by the
computer only.
• Translated by the compiler.
CopyrightsViralPonda2015
5
DEFINITIONS
• A Copyright is a legal right created by the law of a country that grants the
creator of original work exclusive rights to its use and distribution, usually for a
limited time (60 Yrs.). Copyright may apply to a wide range of creative,
intellectual, or artistic forms, or "works". Specifics vary by jurisdiction, but
these can include poems, theses, plays and other literary works, motion
pictures, choreography, musical compositions, sound recordings, paintings,
drawings, sculptures, photographs, computer software, radio and television
broadcasts, and industrial designs, graphic designs.
• A patent is a set of exclusive rights granted by a sovereign state to an inventor
or assignee for a limited period of time (20 Yrs.) in exchange for detailed public
disclosure of an invention
• A trade secret is a formula, practice, process, design, instrument, pattern,
commercial method, or compilation of information which is not generally
known or reasonably ascertainable by others, and by which a business can
obtain an economic advantage over competitors or customers. The source
code usually forms a part of trade secret.
Prior to Copyrights and Patents trade secret was the only form of protection and
Patent rights were granted for complete disclosure of invention.
CopyrightsViralPonda2015
6
• Computer program are literary works under the definition in the Copyright Act.
A “computer program” is a set of statements or instructions to be used directly or
indirectly in a computer in order to bring about a certain result.
• Copyright for computer programs prohibits copying of
1. Source code and Algorithms
2. Object Code
3. Graphics
4. Sounds
5. Appearance of a computer program also may be protected as an audiovisual
work
Thus program can infringe even if no code was copied.
• Copyright comes into being when the original lines of source code or algorithm are
written by the programmer. Another copyright comes into being for each addition or
modification that shows sufficient originality. Thus a series of copyrights come into
existence for software and can amount to ever greening
• While Fair use under section 52(1)a applies to literary work it does not apply to
software program.
COPYRIGHT PROTECTION TO SOFTWARE
CopyrightsViralPonda2015
7
The following acts are not infringements.
• Make back-up copies purely for protection of destruction.
• Make observation, study or test of functioning of the computer program in order to determine
the ideas and principles
• Making of copies or adaption of the computer program from a personally legally obtained copy
for non-commercial personal use.
• The doing of any act necessary to obtain information essential for operating inter-operability of
an independently created computer program with other programs by a lawful possessor of a
computer program provided that such information is not otherwise readily available.
WHAT IS NOT A COPYRIGHT INFRINGEMENT OF SOFTWARE ?
• 1. No development could be made over the existing software without the knowledge of the
source code and logic hidden behind the object code.
Thus unlike other works like music where inspiration derived or idea derived work is possible,
in case of software no further development is possible
• 2. While literary work has a clear protection of 60 years. The software which is developed in
version after version amounts to ever greening and no limit is set on the function or logic.
IS PROTECTION TERM UNDER COPYRIGHTS JUSTIFIED ?
CopyrightsViralPonda2015
8
• The Patents (Amendment) Act, 2002 also introduced explicit exclusions from
patentability under section 3 for Computer Related Inventions (CRIs) as under:
(k) a mathematical or business method or a computer program per se or
algorithms;
The computer software which has a technical effect is patentable under India
Patent Act, 1970.
• The new invention, according to the Indian Patent Act is the technology which
has not been anticipated by publication in any document used. Thus the
‘technical contribution and technical effect’ are also applicable for grant of
patents.
• Accordingly the software programs ‘per se’ are not patentable. It gives a scope
for grant of patents to software programs provided they form part of some
machine or apparatus.
PATENT PROTECTION OF SOFTWARE
CopyrightsViralPonda2015
9
INDIA CONTROVERSY ON 2015 GUIDELINES
• Under the Patents Act – Clause 3(k) – which states that a patent cannot be
granted for “a mathematical or business method or a computer program per
se or algorithms.”
IN CASE OF MATHEMATICAL MODEL.
As per CRI (Computer related Invention) guidelines 2015.
• Mere use of a mathematical formula in a claim, to clearly specify the scope
of protection being sought, would not necessarily render the claim to be
mathematical method.
• Thus Mathematical model becomes a part of a claim
• Though a mathematical method cannot be patented, however if it
becomes a part of a mathematical model, the model itself somehow
becomes patent eligible
CopyrightsViralPonda2015
10
• Act says no business method patenting, but if the method is not just a method
but “specifies an apparatus in connection with or a technical process for carrying
out a Business Method”, then it somehow becomes patent eligible.
• Thus, what was a blanket ban on patenting business methods – there is no per se
in the Act as in computer programmes – is sought to be negated by adding some
words that are not in the Act.
INDIA CONTROVERSY ON 2015 GUIDELINES
In case of business method patenting
CopyrightsViralPonda2015
11
In case of software Patenting
• The original language of the Draft 2002 Act, had computer programmes as not
being patentable; the JPC added the words per se to computer programme. Of
course any such qualifier is a lawyer's delight;
• JPC defined computer programme per se quite clearly. They had clarified that
they did not want to bar patents, if a device containing software was to be
patented, but only if the patentability was claimed for the software.
• A computer programme runs on a computer, therefore any software running on
a generic computer is computer programme per se.
But,
• If a machine has embedded software in it and the combination has novelty, as a
whole, or in the part of the machine that does not run the software, it can be
considered to be not computer programme per se, and therefore patentable.
INDIA CONTROVERSY ON 2015 GUIDELINES
CopyrightsViralPonda2015
12
• Software Contracts can be
1. Sale
2. Assignment of license.
• If the computer software is considered as a ‘good’,
The Sale of Goods Act, 1930 will have relevance in the formation and execution
of the sale contract. Also the Consumer Protection Act, 1986, the conditions
and warranties, as contained in the Sale of Goods Act (Sections 11-17) will
apply. Also the exhaustion of right once sale is done applies.
• Because of the nature and digital format necessities that make copying easy,
certain restrictions are imperative, which can be met through a license, which
can also protect trade secrets in software easily. This has prompted software
owners to structure their distribution transactions as end user licenses instead of
sale.
SOFTWARE CONTRACTS.
CopyrightsViralPonda2015
13
• End user License agreements prevent the user from decompiling or disassembling
the licensed program for any purpose.
• As the fair use doctrine indicates the legal requirement, it should not be
constrained by the copyright owner in any manner. Since these agreements
prevent the licensee from assigning its interest to a third party, they conflict with
the contract law that makes any agreement which restrains anyone from
exercising a lawful profession, trade or business of any kind as void (Section 27,
Contract Act). This prohibition conflicts with the ‘first-sale’ doctrine also.
• In addition to using mass-market licenses to get around copyright law, copyright
owners attempt to enhance their control over their property via technological
restrictions such as encryption technology and transactional design. Thus they
create a clear conflict between copyright law and contract law, which have
different purposes and objectives.
END USER LICENSING VS. CONTRACT ACT.
CopyrightsViralPonda2015
14
• The legality and enforceability of these agreements have not been tested
in Indian courts so far. No software license has been invalidated so far on
the grounds of not being in tested by writing or signed.
• A license agreement, in spite of the fact it fulfills all the requirements of a
valid contract, may not be enforceable if its stipulations conflict with the
law governing it or it is an unconscionable or unreasonable bargain.
• In computer software, generally it is the tendency of software producers
to do away with the rights and privileges of the user, which are specifically
conferred upon the user by copyright and other relevant laws.
• For example, in case of copyright, can the contract take away the fair uses
of the licensee/buyer? Can by an agreement, these rights of the
licensee/buyer be contracted out? In these cases the court would step in
and may hold such a license as unenforceable, which may happen in case
of proprietary license that is generally one-sided.
ENFORCEABILITY OF END USER LICENSE.
CopyrightsViralPonda2015
15
OPEN SOURCE LICENSING.
• The distinction between open source software and proprietary software lies in
the free use of the software and the licensing structure. While the proprietary
software is released in the market by concealing the source code, under open
sourcing the source code is made available with the object code. In proprietary
software, the consumer is bound by the terms of license.
• The basic principles of open source licensing are:
1. open source licenses must permit nonexclusive commercial exploitation
of the licensed work,
2. Must make available the work’s source code, and must permit the
creation of derivative works from the work itself.
CopyrightsViralPonda2015
16
• There are various compilers available in the market. If source code in one
language is converted to source code in other language and commercially
exploited does it amount to infringement? Since in case of literary work it
is a clear case of translation of a book?
• Can end user License be enforceable considering it conflicts with the law
governing it for a unreasonable bargain. Also with computers being sold
with the OS can the pre installed software be considered as a sold good ?
• When a open source software code is used and derived to make a
commercial licensed software, where a part of the code is under GNU license
how is the copyright to be applied to the executable being licensed?
• Has the law and software companies provided justice to the users who spend
time and money on being trained on a software only to be bound by
companies who own license ?
• While the Life cycle of a software version is not more then 2 years and over
all life of a software not more then 10 years is protection for 60 yrs. under
copyright justified ?
QUESTIONS TO PONDER OVER
CopyrightsViralPonda2015
17
Thank You

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Intellectual Property Protection In software

  • 1. INTELLECTUAL PROPERTY PROTECTION IN SOFTWARE Presented to the Faculty of the Institute of Intellectual Property Studies NMIMS in Partial Fulfillment of the Requirements for the POST GRADUATE DIPLOMA IN PATENT LAW & PRACTICE Viral Ponda : Student Id no : 780011400004 vyp009@gmail.com , +91-9821606561 CopyrightsViralPonda2015 1
  • 2. The life cycles of the software includes 1.Designing of the software requirements : (ALGORITHMS / FLOW CHART / LOGIC ) 2.Building the designs to source codes and Object code i.e programs (PROGRAMING IN A LANGUAGE AND COMPILATION) 3.Testing the designs and programs whether they confirms the requirements (TESTING) 4. Maintenance of the same with updating as and required. (UPGRADES/ VERSIONS) LIFE CYCLE OF SOFTWARE CopyrightsViralPonda2015 2
  • 3. DEFINITIONS • Computer is defined in The Information Technology Act, 2000 (No.21 of 2000) as “any electronic, magnetic, optical or other high-speed data processing device or system which performs logical, arithmetic, and memory functions by manipulations of electronic, magnetic or optical impulses, and includes all input, output, processing, storage, computer software, or communication facilities which are connected or related to the computer in a computer system or computer network”. • Algorithm : Not defined in Indian statutes thus the general dictionary meaning “a set of rules that must be followed when solving a particular problem". = / CopyrightsViralPonda2015 3
  • 4. DEFINITIONS • Computer network: is defined in The Information Technology Act, 2000 (No. 21 of 2000) as “the interconnection of one or more computers through - (i) the use of satellite, microwave, terrestrial line or other communication media; and (ii) terminals or a complex consisting of two or more interconnected computers whether or not the interconnection is continuously maintained”. • The term computer program has been defined in the Copyright Act 1957 under Section 2(ffc) as "computer program means a set of instructions expressed in words, codes, schemes or in any other form, including a machine readable medium, capable of causing a computer to perform a particular task or achieve a particular result”. CopyrightsViralPonda2015 4
  • 5. DEFINITIONS • Source Code: The original lines written by the programmer source code. • Language compiler is a computer program (or a set of programs) that transforms source code written in a programming language (the source language) into another computer language (object code / executable), with the latter often having a binary form known as object code. • EG : C++ , VB, Java etc • The Object code: The object code which gives the actual instructions that control the computer when the program is executed. • Can be understood by the programmer and computer • Written by the programmer or on instruction of the programmer by a software. • Works as a translator • Provides protection to the source code. • Can be understood by the computer only. • Translated by the compiler. CopyrightsViralPonda2015 5
  • 6. DEFINITIONS • A Copyright is a legal right created by the law of a country that grants the creator of original work exclusive rights to its use and distribution, usually for a limited time (60 Yrs.). Copyright may apply to a wide range of creative, intellectual, or artistic forms, or "works". Specifics vary by jurisdiction, but these can include poems, theses, plays and other literary works, motion pictures, choreography, musical compositions, sound recordings, paintings, drawings, sculptures, photographs, computer software, radio and television broadcasts, and industrial designs, graphic designs. • A patent is a set of exclusive rights granted by a sovereign state to an inventor or assignee for a limited period of time (20 Yrs.) in exchange for detailed public disclosure of an invention • A trade secret is a formula, practice, process, design, instrument, pattern, commercial method, or compilation of information which is not generally known or reasonably ascertainable by others, and by which a business can obtain an economic advantage over competitors or customers. The source code usually forms a part of trade secret. Prior to Copyrights and Patents trade secret was the only form of protection and Patent rights were granted for complete disclosure of invention. CopyrightsViralPonda2015 6
  • 7. • Computer program are literary works under the definition in the Copyright Act. A “computer program” is a set of statements or instructions to be used directly or indirectly in a computer in order to bring about a certain result. • Copyright for computer programs prohibits copying of 1. Source code and Algorithms 2. Object Code 3. Graphics 4. Sounds 5. Appearance of a computer program also may be protected as an audiovisual work Thus program can infringe even if no code was copied. • Copyright comes into being when the original lines of source code or algorithm are written by the programmer. Another copyright comes into being for each addition or modification that shows sufficient originality. Thus a series of copyrights come into existence for software and can amount to ever greening • While Fair use under section 52(1)a applies to literary work it does not apply to software program. COPYRIGHT PROTECTION TO SOFTWARE CopyrightsViralPonda2015 7
  • 8. The following acts are not infringements. • Make back-up copies purely for protection of destruction. • Make observation, study or test of functioning of the computer program in order to determine the ideas and principles • Making of copies or adaption of the computer program from a personally legally obtained copy for non-commercial personal use. • The doing of any act necessary to obtain information essential for operating inter-operability of an independently created computer program with other programs by a lawful possessor of a computer program provided that such information is not otherwise readily available. WHAT IS NOT A COPYRIGHT INFRINGEMENT OF SOFTWARE ? • 1. No development could be made over the existing software without the knowledge of the source code and logic hidden behind the object code. Thus unlike other works like music where inspiration derived or idea derived work is possible, in case of software no further development is possible • 2. While literary work has a clear protection of 60 years. The software which is developed in version after version amounts to ever greening and no limit is set on the function or logic. IS PROTECTION TERM UNDER COPYRIGHTS JUSTIFIED ? CopyrightsViralPonda2015 8
  • 9. • The Patents (Amendment) Act, 2002 also introduced explicit exclusions from patentability under section 3 for Computer Related Inventions (CRIs) as under: (k) a mathematical or business method or a computer program per se or algorithms; The computer software which has a technical effect is patentable under India Patent Act, 1970. • The new invention, according to the Indian Patent Act is the technology which has not been anticipated by publication in any document used. Thus the ‘technical contribution and technical effect’ are also applicable for grant of patents. • Accordingly the software programs ‘per se’ are not patentable. It gives a scope for grant of patents to software programs provided they form part of some machine or apparatus. PATENT PROTECTION OF SOFTWARE CopyrightsViralPonda2015 9
  • 10. INDIA CONTROVERSY ON 2015 GUIDELINES • Under the Patents Act – Clause 3(k) – which states that a patent cannot be granted for “a mathematical or business method or a computer program per se or algorithms.” IN CASE OF MATHEMATICAL MODEL. As per CRI (Computer related Invention) guidelines 2015. • Mere use of a mathematical formula in a claim, to clearly specify the scope of protection being sought, would not necessarily render the claim to be mathematical method. • Thus Mathematical model becomes a part of a claim • Though a mathematical method cannot be patented, however if it becomes a part of a mathematical model, the model itself somehow becomes patent eligible CopyrightsViralPonda2015 10
  • 11. • Act says no business method patenting, but if the method is not just a method but “specifies an apparatus in connection with or a technical process for carrying out a Business Method”, then it somehow becomes patent eligible. • Thus, what was a blanket ban on patenting business methods – there is no per se in the Act as in computer programmes – is sought to be negated by adding some words that are not in the Act. INDIA CONTROVERSY ON 2015 GUIDELINES In case of business method patenting CopyrightsViralPonda2015 11
  • 12. In case of software Patenting • The original language of the Draft 2002 Act, had computer programmes as not being patentable; the JPC added the words per se to computer programme. Of course any such qualifier is a lawyer's delight; • JPC defined computer programme per se quite clearly. They had clarified that they did not want to bar patents, if a device containing software was to be patented, but only if the patentability was claimed for the software. • A computer programme runs on a computer, therefore any software running on a generic computer is computer programme per se. But, • If a machine has embedded software in it and the combination has novelty, as a whole, or in the part of the machine that does not run the software, it can be considered to be not computer programme per se, and therefore patentable. INDIA CONTROVERSY ON 2015 GUIDELINES CopyrightsViralPonda2015 12
  • 13. • Software Contracts can be 1. Sale 2. Assignment of license. • If the computer software is considered as a ‘good’, The Sale of Goods Act, 1930 will have relevance in the formation and execution of the sale contract. Also the Consumer Protection Act, 1986, the conditions and warranties, as contained in the Sale of Goods Act (Sections 11-17) will apply. Also the exhaustion of right once sale is done applies. • Because of the nature and digital format necessities that make copying easy, certain restrictions are imperative, which can be met through a license, which can also protect trade secrets in software easily. This has prompted software owners to structure their distribution transactions as end user licenses instead of sale. SOFTWARE CONTRACTS. CopyrightsViralPonda2015 13
  • 14. • End user License agreements prevent the user from decompiling or disassembling the licensed program for any purpose. • As the fair use doctrine indicates the legal requirement, it should not be constrained by the copyright owner in any manner. Since these agreements prevent the licensee from assigning its interest to a third party, they conflict with the contract law that makes any agreement which restrains anyone from exercising a lawful profession, trade or business of any kind as void (Section 27, Contract Act). This prohibition conflicts with the ‘first-sale’ doctrine also. • In addition to using mass-market licenses to get around copyright law, copyright owners attempt to enhance their control over their property via technological restrictions such as encryption technology and transactional design. Thus they create a clear conflict between copyright law and contract law, which have different purposes and objectives. END USER LICENSING VS. CONTRACT ACT. CopyrightsViralPonda2015 14
  • 15. • The legality and enforceability of these agreements have not been tested in Indian courts so far. No software license has been invalidated so far on the grounds of not being in tested by writing or signed. • A license agreement, in spite of the fact it fulfills all the requirements of a valid contract, may not be enforceable if its stipulations conflict with the law governing it or it is an unconscionable or unreasonable bargain. • In computer software, generally it is the tendency of software producers to do away with the rights and privileges of the user, which are specifically conferred upon the user by copyright and other relevant laws. • For example, in case of copyright, can the contract take away the fair uses of the licensee/buyer? Can by an agreement, these rights of the licensee/buyer be contracted out? In these cases the court would step in and may hold such a license as unenforceable, which may happen in case of proprietary license that is generally one-sided. ENFORCEABILITY OF END USER LICENSE. CopyrightsViralPonda2015 15
  • 16. OPEN SOURCE LICENSING. • The distinction between open source software and proprietary software lies in the free use of the software and the licensing structure. While the proprietary software is released in the market by concealing the source code, under open sourcing the source code is made available with the object code. In proprietary software, the consumer is bound by the terms of license. • The basic principles of open source licensing are: 1. open source licenses must permit nonexclusive commercial exploitation of the licensed work, 2. Must make available the work’s source code, and must permit the creation of derivative works from the work itself. CopyrightsViralPonda2015 16
  • 17. • There are various compilers available in the market. If source code in one language is converted to source code in other language and commercially exploited does it amount to infringement? Since in case of literary work it is a clear case of translation of a book? • Can end user License be enforceable considering it conflicts with the law governing it for a unreasonable bargain. Also with computers being sold with the OS can the pre installed software be considered as a sold good ? • When a open source software code is used and derived to make a commercial licensed software, where a part of the code is under GNU license how is the copyright to be applied to the executable being licensed? • Has the law and software companies provided justice to the users who spend time and money on being trained on a software only to be bound by companies who own license ? • While the Life cycle of a software version is not more then 2 years and over all life of a software not more then 10 years is protection for 60 yrs. under copyright justified ? QUESTIONS TO PONDER OVER CopyrightsViralPonda2015 17